Power supply and electronic component maker Delta Electronics Inc (台達電) yesterday posted NT$40.78 billion (US$1.35 billion) in revenue for last month, rising 21.6 percent year-on-year, driven by growing demand for power and heat dissipation products used in artificial intelligence-related devices.
On a monthly basis, revenue dropped about 6 percent from NT$43.44 billion.
Cumulative revenue in the first four months rose 27.9 percent to NT$159.7 billion, Delta said in a statement.
Photo: CNA
Despite the decline, Delta maintained its revenue growth forecast for this quarter.
Delta chairman Ping Cheng (鄭平) told investors during the quarterly earnings conference last week that revenue this quarter would surpass the first quarter’s NT$118.92 billion, driven by front-loaded orders from US customers taking advantage of the 90-day pause of US “reciprocal” tariffs.
Although several local electronics makers have taken steps to build new US factories to avoid potential tariff hikes, Delta is still studying its feasibility as exports from Thailand to the US, while subject to 30 percent tariffs, would still be more cost-effective than operating a factory in the US, Cheng said.
About half of Delta’s production capacity is in China, but it is building five new factories in Thailand to diversify its manufacturing, in addition to its production sites in Taiwan and India.
Separately, notebook computer contract maker Compal Electronics Inc (仁寶) yesterday said revenue dropped 19.4 percent year-on-year, or 18.3 percent month-on-month, to NT$62.29 billion last month.
US tariff policy uncertainty has made it difficult to gauge how much business would be affected going forward, Compal chairman Ray Chen (陳瑞聰) said.
The company is considering building a factory in the US, possibly in Texas, and accelerating its deployment in Mexico, Chen said.
The details and timeline for the US factory plan are still under discussion, Chen said.
Following the New Taiwan dollar’s sharp appreciation, Chen said Compal would have to recognize some foreign exchange losses.
Compal is seeing an influx of front-loading and urgent orders, which is helping boost shipments, he said.
Nvidia Corp CEO Jensen Huang (黃仁勳) today announced that his company has selected "Beitou Shilin" in Taipei for its new Taiwan office, called Nvidia Constellation, putting an end to months of speculation. Industry sources have said that the tech giant has been eyeing the Beitou Shilin Science Park as the site of its new overseas headquarters, and speculated that the new headquarters would be built on two plots of land designated as "T17" and "T18," which span 3.89 hectares in the park. "I think it's time for us to reveal one of the largest products we've ever built," Huang said near the
China yesterday announced anti-dumping duties as high as 74.9 percent on imports of polyoxymethylene (POM) copolymers, a type of engineering plastic, from Taiwan, the US, the EU and Japan. The Chinese Ministry of Commerce’s findings conclude a probe launched in May last year, shortly after the US sharply increased tariffs on Chinese electric vehicles, computer chips and other imports. POM copolymers can partially replace metals such as copper and zinc, and have various applications, including in auto parts, electronics and medical equipment, the Chinese ministry has said. In January, it said initial investigations had determined that dumping was taking place, and implemented preliminary
Intel Corp yesterday reinforced its determination to strengthen its partnerships with Taiwan’s ecosystem partners including original-electronic-manufacturing (OEM) companies such as Hon Hai Precision Industry Co (鴻海精密) and chipmaker United Microelectronics Corp (UMC, 聯電). “Tonight marks a new beginning. We renew our new partnership with Taiwan ecosystem,” Intel new chief executive officer Tan Lip-bu (陳立武) said at a dinner with representatives from the company’s local partners, celebrating the 40th anniversary of the US chip giant’s presence in Taiwan. Tan took the reins at Intel six weeks ago aiming to reform the chipmaker and revive its past glory. This is the first time Tan
CUSTOMERS’ BURDEN: TSMC already has operations in the US and is a foundry, so any tariff increase would mostly affect US customers, not the company, the minister said Taiwanese manufacturers are “not afraid” of US tariffs, but are concerned about being affected more heavily than regional economic competitors Japan and South Korea, Minister of Economic Affairs J.W. Kuo (郭智輝) said. “Taiwan has many advantages that other countries do not have, the most notable of which is its semiconductor ecosystem,” Kuo said. The US “must rely on Taiwan” to boost its microchip manufacturing capacities, Kuo said in an interview ahead of his one-year anniversary in office tomorrow. Taiwan has submitted a position paper under Section 232 of the US Trade Expansion Act to explain the “complementary relationship” between Taiwan and the US